Peru is once again capturing the world's attention by hosting in 2024 the Leaders' Meeting of the
Asia-Pacific Economic Cooperation (APEC) forum, an important global trade bloc, with preparatory meetings that have already begun in Lima.
The APEC forum, founded in 1989, brings together 21 economies from the Asia-Pacific region, including the most powerful ones such as the United States, China, Japan, Russia, among others.
"I think that Peru has done a remarkable job of planning and preparing to host this year by looking at how some of its priorities on trade and investment on for example, using technology to facilitate the transition from the informal to the formal sector, by looking at sustainability and inclusion objectives here," he added.
Likewise, the senior official noted that the U.S. organizing team of APEC 2023 meetings had a great partnership with the Peru team to advance the issues that have already been addressed in recent summits of the forum.
"Peru has done a terrific job of being able to demonstrate continuity, going ahead from the last couple of years in APEC, which I think will be a great bridge to the future," Ambassador Murray underlined.
Moreover, the envoy stated that the United States is very proud of some of the outcomes that have come out of the U.S. host year in San Francisco, to advance objectives on sustainability and inclusivity.
"I know that Peru has great plans looking ahead to 2024 to do the same. But I think that the biggest challenge is how to ensure the agenda is comprehensive and really does address many of the challenges that we are facing in the world today, when it comes to the global economy," he said.
In this regard, the envoy remarked that the
Secretary of State of the United States, Antony Blinken, put it very well.
"He said that we need to use APEC to meet the moment that we are in, because we are facing a lot of challenges. We are facing challenges from the COVID-19 pandemic, from economic headwinds, the climate crisis, the digital transformation, the just energy transition."
"There are a number of different challenges that the world is facing, that our region is facing. And so, I think that APEC over the last couple of years has tried very hard to be an organization that can help meet the moment that we are in, when it comes to all these economic challenges, and I think that under Peru's leadership in 2024 certainly we'll be able to continue on that path," Mr. Murray expressed.
Prioritized goals
The APEC forum's goal is to promote liberalization of trade and investment, facilitate business and promote economic cooperation, as well as contribute to prosperity among member economies.
Although no binding measures are adopted, it is an important platform to promote free trade and other measures favoring the development of its partner economies.
"APEC is the only elite forum in which Peru participates," said Minister Renato Reyes Tagle, Peru's high-ranking official before APEC, from the Ministry of Foreign Affairs.
In this regard, he said Peru has prioritized three topics for the APEC 2024 summit. The first one explores how trade and investments can contribute to inclusive and interconnected growth in the Asia-Pacific region.
"The second priority has to explore how innovation and digitalization can be instruments to promote transition to the formal and global economy; and the third one aims to achieve sustainable growth to generate resilient development," the Peruvian diplomat explained.
"These three priorities have to explore how we advance the APEC agenda of inclusion. We believe that inclusion comes in a second stage; we cannot talk about it without providing tools to empower populations first," he added.
Minister Reyes Tagle pointed out that, given these three priorities, the aim is to have four major deliverables or documents, so that they can be approved by the APEC forum leaders.
Similarly, he underscored that, with the support of various international organizations such as the OECD, the ILO, and also the U.S., Peru has begun working to have a first draft of what could be a roadmap to promote transition to the formal economy in the Asia-Pacific region, because 60% of jobs are informal in the countries across this region, including those in APEC.
APEC's importance in Peru
Peru's senior official before APEC, Minister Renato Reyes Tagle, highlighted the importance of holding meetings of this important economic forum in Peru.
"For us, APEC means cooperation, our motto is composed of 21 elements, which means that if the 21 economies are united, we can shine, not only for the Pacific Ocean but for the world," he stressed.
In addition, the high-ranking official stated that he recently wrote an article about how APEC has contributed to economic integration in the world. "It is a non-binding forum that has initiatives, which are later picked up by some international organizations."
He noted that Peru has received more than US$9.4 billion in investments from APEC economies as a consequence of hosting this forum in 2008 and 2016.
Furthermore, the minister noted that the last APEC meetings in various cities across Peru, in 2016, generated more than US$20 million in revenues across different areas such as accommodation, transportation, tourism, food, and created jobs throughout the country.
Data
- The APEC region represents 67% of Peru's international trade.
- The APEC forum places relevant issues on the world agenda. Minister Reyes Tagle stated that leaders at the 2012 APEC meeting voluntarily approved to reduce tariff rates on environmental goods to 5%. Besides, in 2020, the World Trade Organization (WTO) followed the initiative, and more than 50 countries started to implement these initiatives.
- In 2012, APEC leaders voluntarily agreed to freeze subsidies for highly polluting fossil fuels. This initiative was later picked up by the United Nations Conference of the Parties (COP) in 2021.
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Published: 12/5/2023